Saudi Aramco has signed a $15.5bn lease-and-leaseback deal with a consortium led by BlackRock Real Assets and Hassana Investment Co., the asset management arm of Saudi Arabia’s General Organization for Social Insurance (GOSI), under which a newly formed subsidiary, Aramco Gas Pipelines Co., will be set up. Aramco will hold 51% of Aramco Gas Pipelines Co., while 49% will be sold to investors led by BlackRock and Hassana. As part of the deal, Aramco Gas Pipelines Co. will lease usage rights in its gas pipelines network and lease them back to Aramco for a 20-year period. In return, Aramco will pay a tariff to Aramco Gas Pipelines Co. for the gas products that will flow through the network. “The deal unlocks additional value from Aramco’s diverse asset base and has attracted interest from a wide range of worldwide investors, highlighting the compelling investment opportunity,” said Saudi Aramco.
Aramco’s dollar bonds were trading stable, with its 3.25% 2050s up 0.17 points to 98.154 and its 1.625% 2025s down 0.21 to 99.396.
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